Why is it important to have a business plan?

Question

Why is it important to have a business plan?

Answer 1

Map Out A Business Plan

A business plan helps in

determining if your product or

service is reasonable, do-able,

or have a chance at success. It

is the deciding factor in whether

or not you want to continue, start,

the business.

A, good, business plan defines

goals, dead-lines. It answers

who will handle the accounting,

for example. Will you, someone

else, be in charge of customer

service? Day to day operations?

Suppliers?

Answer 2

If you do not have a plan "A." You don't have a plan "B" to

fall back on. <}:-})

Answer 3

You need a business plan to set yourself some goals, ask yourself what do you want to achive and when.

you need a business plan to stay focus on your business and you need it to stay in the budget you set when you started your business.

Tanny

Answer 4

Business Plan...B'coz, it tells u about the current market startergy and study..the steps to develop ur business n study of the business n the information about the market which u r going to do ur business n which sector u r going to hit for the proposals...n the information n rocord about the investment for ur business n wht ll be ur business after a year r tow n wths ur targets for the business for the upcoming years ....wht r the milestones u r planing to cross for next finincal year...

this is wht the business plan carry's n with out this u cannot start ur sucessfull business....

Answer 5

I do not believe in business plans and I have never made one they are a complete waste of time and came about from the sorry professors teaching business courses at our universities. I was a millionaire by age 30, I retired at the age of 50. Ask anyone that has ever had a plan wether it is for their life or business, if it worked? You just go out and do it!

Bill Gates, Warren Buffett, Art Williams never had a business plan and are the top business people of our time. So if you want to listen to all the people that have not been successful in life and business, the one's in debt, the one's with the cancer called a job that's your choice.

The people that are so hung up on the business plan never get around to achieving success, they are so worried about following their "PLAN". There is no way to predict the economy, the obstacles you will face when starting a business and whatever else arises, you just go out and

"DO IT". This is my opinion and I am backed up by many of the successful entrepreneurs of our time.

Answer 6

business plan is:

1. you have a business plan

2. write down what you will need to achieve this plan

3. determine how much you need

4. consider onforseeing circumstances and make provisions

5. estimate you profit etc

this is important because, when you write things down you can refer to them and that makes them more concrete to achieve

Answer 7

When you get in the car, do you just drive, or do you know where you want to go and how you intend to get there?

A business plan is a strategy guide in which you have outlined what your business is, what you want to accomplish, and how you intend to accomplish it.  It contains your marketing plan, your swot analysis, and your market opportunity analysis.  

For outsiders the plan itself is the thing.  Financial sources like bankers and venture capital firms will want to see your business plan so they can quickly evaluate your business.  

For you, the entrepreneur, the business plan is not about the plan itself, it is about the process of making the plan.  It is a process of introspection in which you have to honestly answer the tough questions about what your business has, its people, it's resources, what your goals are, who your competition and customers are, and how you realistically expect to reach your goals.  That process is something many entrepreneurs overlook and find out too late that they did not understand something important about their business or their market.

Later, when your business is in operation, you can go back to your plan and see if what you are doing is consistent with your original plans.  It is a growing thing that needs to be re-written regularly in light of changes inside and outside of your business.